October 09, 2008

So, with stocks, are you buying, selling or holding during this crash? Or are you just on the beach, eating popcorn?





UPDATE - DOW CLOSES AT SHOCKING 8,579, CRASHES 5,585 POINS IN 12 MONTHS. LIVES ARE RUINED. SAVINGS ARE GONE. JOBS ARE NEXT. PANIC IS HERE.




(photos at huffingtonpost)

121 comments:

Eric said...

Eating Popcorn.

I've got to have some entertainment while I wait for the next Lost season.

eric in vegas said...

Patience, we still have the alt-a/option arm crap to go through. Still a long way down to go in my opinion.

frede said...

please, you think i can afford to gamble these days?

Rob Dawg said...

Selling popcorn to the people who are rushing out to the edge of the bay wondering where the water went.

edd said...

Let's mark the Republicans
to market.

.....Whoa !!
Never mind.

Batman said...

Lots of sucker rallies to play for the day traders. I think we've got a week or two of pendulum swing up coming before the next big leg down to 8000.

Anonymous said...

I think there is something more significant going on.

We might be witnessing the collapse of globalism. Everything is being nationalized. Soon, other states will bu all up in arms because something they perceive as "theirs" gets nationalized and taken away.

I'm voting third party this election.

Agent 99 said...

Stocks? Sold one year ago.

So, what about Bonds? My brother just sold his restaurant and put $500,000 into bonds. I think he's nuts.

Popcorn? As a beach snack? I prefer pretzels.

Anonymous said...

I went and put some money with Peter Schiff's firm. Maybe I'm drinking too much of his particular brand of Kool-Aid, but commodities seem to low, the dollar seems too high. I trust his recommendations. Frankly, the guy has saved me enough money already, I'm willing to shovel some commissions his way.

Basically, the portfolio they put you in is diversified across a number of different currencies and commodities.

Currencies: Singapore, China, Euro, Australia, New Zealand, Japan

Commodities: Water, Oil, Metals, Infrastructure, natural gas, minerals, energy.

keith said...

Dow took out 13,000

then 12,000

then 11,000

then 10,000

then today, 9,000

How low will it go? And to think, the Dow are the 30 of the most stable companies in the US.

You want to see the true extent of this epic crash? Look overseas, and look beyond the Dow.

But damn. 9000. How many days until 8,000?

Anonymous said...

Hey Boo Boo...Pic a Nick Baskets!

Anonymous said...

A preview of things to come in an Obama administration....no more foreclosure evictions in Chicago

http://cbss
chicago.com/local/cook.county.evictions.2.835333.html

Anonymous said...

I'm sticking with yen for now. Added more today.

keith said...

The only way out of this now is a sickening, devastating drop.

The kind of day (after trading curbs hit) that you remember forever.

Wipe out the hedge funds. Cleanse the system. Get to "revulsion". And then rebuild from there, after the election.

Anonymous said...

If these guys are our best and brightest, then we need to rethink what constitutes wisdom, since an Ivy League law degree is no proof of either intelligence or ethics.

We as a nation need to relearn the old notion of shame -- as in, "Shame on you!" Firms like Lehman Brothers and Bear Stearns were once responsible Wall Street institutions, built up over decades by sober men. But their far-lesser successors in just a few months have bankrupted these venerable brokerage houses -- with seemingly no shame at what they have done to the image of Wall Street.

How odd that all those boring lessons from our grandparents turn out to be true in the globalized, hip 21st century.


http://tinyurl.com/5x2hve

borkafatty aka the pig said...

nice pic but polar bears are bigger and more vicious, thus a better description for this market.

Only wish i would have sold out the first time i was ready to capitulate (around dow 12000).

Sell out and buy popcorn. This sucker isn't close to done yet.

George L said...

I use to be firm on my believe that the market would bottom at 8,000 but now it looks like it's bottom at 5,000.

anybody want to predict the bottom?

Anonymous said...

Popcorn! Renting and collecting interest on my CD's for now.

As to Euro Pacific Capital - Peter Shiff...I contacted his firm last spring but I did not appreciate the lack of attention I got from the guy who called me. I have close to 3/4 of a Million in my portfolio and discussed opening an account of $100,000 with them. He was fairly unattentive so I never called him back. Just an observation...

Eric said...

ouch.

-570 on Dow Industrials

keith said...

I think the Plunge Protection Team is now dead

Or they're short

And anyone seen Bush (Hoover)?

keith said...

Folks, there is a now, as of this moment, a real chance that a generation of Americans (if not more) will never, ever be able to retire.

Think about that one. Let that sink in.

No retirement.

And old folks living with their kids, struggling to get by, if not out on the street or in homeless shelters.

This is getting really real really quick and it's ugly beyond belief.

Thank you realtors.

Anonymous said...

So, What exactly happens when the Dow hits 0?
I'm asking because at this rate, it's only a matter of days...

keith said...

Oh, I'm sorry, I looked away

9,000 - check
8,900 - check
8,800 - check
8,700 - check
8,600 - ....

Anonymous said...

Man, it's looking like the capitulation we want. I'm itching to jump in. But I've gotten the impression that this sucker is out of control.

Anonymous said...

Anonymous said...

As to Euro Pacific Capital - Peter Shiff...I contacted his firm last spring but I did not appreciate the lack of attention I got from the guy who called me. I have close to 3/4 of a Million in my portfolio and discussed opening an account of $100,000 with them. He was fairly unattentive so I never called him back. Just an observation...

I had the exact same experience only I had 250,000 to give them. Sort of rude and arrogant and no one at Europac would give me a fee schedule. They won't tell you what they charge. Is a big secret.

Mish got our money. Totally transparent with Interactive Brokers, reasonable fee and you get an education to boot.

Now the folks at Euro are calling me back wanting to know where I went.

sitkapacific.com

keith said...

what you're seeing folks isn't about the companies being traded.

Nope.

It's about over-leveraged hedge funds completely unwinding in real time

30 to 1 leverage turned into this. An epic economic collapse.

Why?

Because we allowed over-leveraged banks to lend to over-leveraged hedge funds with reckless abandon. And then we saw, of course, right on time, The Great Unwinding.

I hope every hedge fund in the world fails. And then we can start again.

Until then, the world ends.

vanilla ice said...

Holy moly! Dow -600 pts. today. to 8700

I'm going to start buying now, but haven't gotten around to it. I'm just too busy reading the papers and enjoying this better then disaster movie econotainment.

Anonymous said...

Two days in a row with the market finishing the day at its lows. Ouch.

fast actin tinactin said...

New Yorker Headline - The Rationality of Panic.

We're getting more mainstream every day.

Anonymous said...

"keith said...
I think the Plunge Protection Team is now dead

Or they're short

And anyone seen Bush (Hoover)?"

Bushco was last seen kissing his oilman on the mouth and lips shortly before departing to Colorado to meet with his new private army.

Cheneyburton is said to be holed up in his travelling pod like a diseased monster.

and bulk (those not guarding politicians) f the Brave US Troops are STILL in Harms Way...

Anonymous said...

So, What exactly happens when the Dow hits 0?
I'm asking because at this rate, it's only a matter of days...

I'll start buying. :P

Anonymous said...

HEY UNION PARASITES, MISSION ACCOMPLISHED!

GM = -31% ; 4.76 = -49% DROP IN ONE MONTH ALONE!

THANKS UNION PARASITES FOR KILLING AMERICAN INDUSTRY!

Anonymous said...

Realistically, I think a best case scenario is for the DJIA to end up around 7000 - 7500 when all is said and done. We could see a couple of rallies, but otherwise expect that in a year from now. You might get my attention if the DJIA goes below 7000 points (I don't worry about the NASDAQ and the S&P 500, most of the companies on those indices are too small to make as big a 'boom' as something like 3M for example).

Look on the bright side. Petroleum could be below $40 a barrel by this time next year. Also, housing could be down by a similar percentage by that time as well. What's going on in the economy isn't earthshaking news to me. Wasn't it a given that everything was too overpriced to begin with? I say that you might see 1908 prices in some areas within the next few years.

keith said...

8,600 - check

unreal

absolutely unreal

and folks, John McCain, whose republican party will be wrongly or rightly blamed for this, now has the chance to lose nearly 50 states. Even Indiana and South Carolina will be in play after this. Hell, so are Alaska and Arizona.

The housing and stock market crash changed everything

And going into 2009, people are going to want blood

Angelo Mozilo, enjoy your last days of sunshine.

Anonymous said...

Unreal.

Today Ford Motor Company's (F)market cap was HIGHER than General Motors (GM).

I cannot believe it.

General Motors mismanaged itself to its knees and will probably be gone soon. .10 on the dollar like down at the flea market...

Good Riddance. I hope all the GM employees and their families Have a Wonderful Holiday Season.

Allow me to recommend you re-watch Michael Moores first commercial success "Roger and Me". Every time "Flint" is mentioned, mentally (if you can) replace it with 'The United States under George Bushco and Dick Cheneyburton."

THE WORST MANAGERS EVER.

GOP: The Party of John McCain and Sarah Palin that Wrecked America.

Anonymous said...

Global Cut Rate = Trying desperately to ignite another bubble.

The Musings of Strawman Munny said...

Guys, I have minimal knowledge in all this and have learned a lot from reading this blog. Must say, I'm getting a bit antsy and have no idea what to do. So, looking for opinions.

The only money I have in the market is IRA mutual funds. Individual accts, not through any business. Mainly T.Rowe. Do you think I should hold onto them or eat the 10% tax and take the money out?

Anonymous said...

As always SRS. You know me Keith. SRS.

Dny

the time has come said...

From my calculations and financial research, the Dow will be around 4500 by NEXT Tuesday, and most Banks and financial institutions will be shut down and PANIC will bring mobs to the streets, the White House and nationwide GOP republican offices.

Bush and Cheney will be arrested amoung other GOP media and defence network criminals starting this evening.

The time has arrived! The GOP Bush/Cheney/McCain criminal thugs need to be captured, tortured and sent to prison - with NO bail or legal defence. We will use their own Patriot Act to arrest these GOP members as terrorists as we clean up the scum bags out of Washington DC and Wall Street.

Anonymous said...

DOW -680!!!

The sky is indeed falling. Look out below. I'm going in on Vale do Rio Doce and Petrobras tonight. Latin America is on sale now!

1 US$ = R2.40 (Brazilian Real)
Was 1 to 1.55 a month ago.

Look for the Aussie dollar to bounce back. Don't overlook the Peruvian Sol if it hits 4 to 1 again. Almost time to cash in boys & girls!!

eric in vegas said...

Told ya Keith :P. But yeah this sucks for people close to retirement whose accounts are tied to the market.

keith said...

This feels like we're much closer to the low than the high. But go ahead, close your eyes and picture a world with

Dow 6,000
Dow 5,000
Dow 4,000
Dow 3,000
Dow 2,000
Dow 500

It won't happen, it can't happen, but go ahead, picture it.

And wait, one day, for the mother of all bear market rallies.

In the meantime, this hedge fund unwinding is unreal.

Leverage. It was all about unregulated leverage.

Anonymous said...

Wow, since Oct 2007:

30% of S&P = -50%
25% of S&P = -75%

Tonto said...

HOLY SHIT!!!!

I am dollar cost averaging but very slowly. Bought DIA at 99.90 (when DOW was 10,000) and just bought DIA at 86.15 (DOW 8,630).

How much lower can it really go?

Anonymous said...

"The Musings of Strawman Munny said...
Guys, I have minimal knowledge in all this and have learned a lot from reading this blog. Must say, I'm getting a bit antsy and have no idea what to do. So, looking for opinions.

The only money I have in the market is IRA mutual funds. Individual accts, not through any business. Mainly T.Rowe. Do you think I should hold onto them or eat the 10% tax and take the money out?

October 09, 2008 9:22 PM"

Neither, Buy houses.

NOW IS A GOOD TIME TO BUY BECAUSE:
-houses only go UP.
-they are not making any more land
-interest rates are cheap.
-you can always rent it out.
-you can always get refinancing.

You should BUY NOW or BE PRICED OUT FORVER.

Written jointly by Lawrence and Suzanne.

You're Welcome.

Suckers. DIE U PIG

Anonymous said...

Leverage. It was all about unregulated leverage.

Same as 1929, right?? The one thing we learn from history is that we never learn from history.

brokersleaveyoubroke said...

Put all my 401K into money market funds a long time ago. I was starting to worry that even those supposedly "safe" investments might be in trouble. I just checked my 401K online and to my surprise I find that, as part of the bailout, the fed now guarantees that my fund will not lose money. They're going to guarantee money markets just like the FDIC guarantees banks. I'm still opposed to the bailout but maybe a little less then before.
Of course the guarantee is meaningless if the fed goes broke.

old geaser said...

let the sob crash.All the hedge funds need to go broke.I'm down about 40% now.So much for retirement.I am looking for work now.Walmart is even looking good.I am 85 years old and can't afford my pills now.I'm starting to hide my guns from my wife.she has a million dollar policy on my ass.She could have me in the ground for a thousand bucks and live a great life.

brokersleaveyoubroke said...

Keith said
But damn. 9000. How many days until 8,000?

Not too many since it got halfway there today.

keith said...

I expect something dramatic tonight.

Watch Bush declare martial law and emergency powers, nationalize the banks, and announce a $10 trillion share repurchase

Or something totally bizarre like that.

We're in unchartered terrority. Even 1929 comparisons are now null and void

This one is new.

Thank you realtors.

Anonymous said...

I have been predicting the bottom would be close to 8,200. I had planned to put all my money back into the market once it hit 8,200. After this afternoon, I now think the bottom will be 7,100. The USA!USA!USA! government will then likely intervene enough to prevent further falling. I now plan on putting my cash back into the market once the market hits 7700. I still see this as a severe crisis for about 3-4 months, folowed by a steady recovery. Within 2years, the market will be about 10,500 to 11,000.

Bush should be evicted said...

Right on time. Bush said the Whitehouse would become more "involved with lending institutions". That was the final thing needed to ignite the forest fire of today. Anytime you hear Bushco is getting involved, expect bad things. He is the dumbest, most incompetent moron in the History of presidents.

Until Bush is out of office, this will continue.
I think that this congress should pass an emergency bill mandating that Bushco be evicted from the Whitehouse immediately after the election. Because another few months of this administration will drive us literally in to the ground. The new President will have to engage in nation building here in the US.

Anonymous said...

Keith, you forgot the other cliche picture. That one with the trade floor full of sell orders and some lonely janitor sweeping it.

FlyingMonkeyWarrior said...

Selling gold to China, Importing Bio fuels, working on sustainable energy sources, dabbling in REO's with Vulture Funds, hopefully picking up some left ovr buildings from the LEH Real Estate Liquidation and popping pop corn.

Anonymous said...

Keith said:
"And going into 2009, people are going to want blood

Angelo Mozilo, enjoy your last days of sunshine."

I think Angelo Mozillo is going to be pretty far down the list of Joe Public's hit list. Many don't even know who is or even the company for which he was CEO.

The CEOs of Exxon-Mobil and Chevron will be targeted by the public well before anyone in the financial sector. Even though the oil companies are hardly at all responsible for our mess, the media and the Democrats in Congress have branded them Public Enemy #1. The public will also scream for Greenspan's, Bernake's and Paulson's head before Mozillo's. I'm amazed Cheney's name has hardly even been raised by the Obama campaign; he's more responsible for our problems than that incompetent Bush.

Most likely though the public won't have anyone specific in mind as they search for blood. Do you think those that rioted in LA had any particular targets planned? Instead of attacking those directly responsible for the situtation (the LAPD), they destroyed cars and stores indiscriminately. As if Reginald Denny or store owners, many of whom black or Hispanic, were responsible for what happened to Rodney King.

Keep in mind that people are not and will not think rationally about the situation. They'll target the first thing that comes to their minds. Sadly, I think the day isn't too far off where losses in the stock markets are going to be secondary in people's minds and to the national media. A couple hundred people dying in a riot in one of our major cities will trump the Dow losing 7% or even 27% in one day. If that city's police department or state's National Guard is partly responsible for the death toll, that will start violence unseen in this country since the Civil War and make the Dow's plunge a footnote to the story of how the U.S. was irrevocably changed if not destroyed.

FlyingMonkeyWarrior said...

LOL at Rob Dawg, nice Avatar.

Anonymous said...

I'm down about 40% now.So much for retirement.I am looking for work now.Walmart is even looking good.I am 85 years old and can't afford my pills now.

You're 85 and still exposed to stocks? I bet you'll vote for Obama too. Genius!

Susan said...

I remember the last time dow was to 8K. From Jul of 2002 to May of 2003 it was solid in the 8's. In July of 2003 it made it back into the 9's. It did dip to the high 7's briefly.

It wasn't that long ago!

Anonymous said...

Cramer = Broken Clock

Anonymous said...

IMHO....ALL THE MONEY THE FED IS GIVING TO BANKS IS GOING TO TRHEIR TRADING ACCOUNTS...NONE OF IT IS GOING WHERE IT WAS INTENDED (IE FOR LOANS) THE GREEDY BANKS ARE DOING WHAT THEY WANT WITH THE MONEY....ITS LIKE MONOPOLY JUST CLOSE UP THE BOORD PICK ALL NEW PIECES AND LETS START A NEW GAME...THIS GAME IS ENDED..CHECK AND MATE

Anonymous said...

Keith, what about that BofA CFC deal?

I believe it is falling apart as we speak! Which could mean curtains for BofA!

keith said...

BAC closed CFC months ago

It's their cancer now

Actually, it's our cancer now, since the taxpayer will be taking over bofa one day most likely

vanilla ice said...

"Watch Bush declare martial law and emergency powers, nationalize the banks, and announce a $10 trillion share repurchase."

So on my way home from work, I should draw as much cash from my bank account as possible?

Susan said...

The 29 crash was in one day. This is simply an "aggressive correction" from the last 10 years.

Not going to white wash it, its going to hurt the economy bad and take a bunch of folks with it. It is simply the hangover the nation/world is paying for the 10 year credit (cocaine) party we have been riding high on.

Whatever you THINK you know about finance, toss it. Go look back to the 70s and 80s for statistical models.

FlyingMonkeyWarrior said...

I just got back for a Timshare Investors Conference, which sounds like an oxymoron, but any way, whilst I was there I found out that some of the largest developers securitized their paper too!
The numbers astonish the mind.
As an example, take a Resort that has 1000 villas, and each villa is sold 50 times to 50 different mortgage holders who bought a week. Now, said company has 28 Resorts. That is a lot of loans sold to the Trusts and investors and 401K's etc. Good luck sorting that out.
Oh, and look for these TS companies to implode, I reckon.

Anonymous said...

I've got a Koi Pond application on my iPhone and little fishies swim around and I can move the plants all over the place and it makes water sounds and waves and I can change the colors and the sounds of birds and crickets and ocean waves or the sounds of screams coming from wall street.

Anonymous said...

I'm holding - lost about 45% in stocks so far, but have dividend stocks and am about 20 years from retirement, so I think I'll rebound - at least I hope so.

Anonymous said...

Keith:

Any comments on GM crash today and effects of its CDS, which incidentally is more than LEH,
Fortis, Iceland all put together.

curtstest said...

Folks, there is a now, as of this moment, a real chance that a generation of Americans (if not more) will never, ever be able to retire.

As long as we're speaking generationally (which stereotypes terribly, I know), the generation that is facing inability to retire is a generation of credit consumers (like all the ones following it).

What we're learning is the price of a lifetime of overconsumption . . . it's, at a minimum, a lifetime of work to attempt to repay.

vanilla ice said...

"The 29 crash was in one day."

Actually I think it took place over several weeks. I think the 1929 crash looks similar to our crash.

speedingpullet said...

Drop today -678.91

So, DOW closes at less than 8,600 - at 6578.19
Which is ironic, considering that last year - to the day- it was at its highest.

Anyone have any idea when capitulation happens?

Anonymous said...

"Anonymous said...
Keith:

Any comments on GM crash today and effects of its CDS, which incidentally is more than LEH,
Fortis, Iceland all put together."

You asked. Malcolm your beloved GM and the greedy union dipshit workers are Fucked now. Better sell the Caddy or get another one for parts... GM 'out-of-business' by Christmas 2008:

GM shares fall 30 percent after S&P statement
By BREE FOWLER, AP Auto Writer

Thursday, October 9, 2008

-09) 13:50 PDT NEW YORK, (AP) --

Shares of General Motors Corp. and Ford Motor Co. plunged in the waning minutes of trading Thursday, after Standard & Poor's Ratings Services placed their credit ratings under review for possible downgrade.

S&P said the moves reflects the weakening automotive markets across the world and expectations that tight credit markets will make for a rocky road ahead.

GM shares plummeted $2.26, or 33 percent, to $4.65 before edging back up slightly to close at $4.76, helping drag the Dow Jones industrial average down by more than 600 points to their lowest level in five years.

Thursday's low point marked the Detroit-based automaker's lowest share price since March 15, 1950, according to the Center for Research in Security Prices at the University of Chicago.

Thursday also marked the GM's sixth straight day of losses. The automaker's shares are down 50 percent from their close of $9.45 at the end of September.

Meanwhile, Ford shares fell by as much as 63 cents, or 24 percent, to $2.03 late in the session before rebounding slightly to close at $2.08. The Dearborn, Mich.-based automaker's shares hadn't fallen that low since June 1, 1983, according to the Center for Research in Security Prices.

The center's historical prices are adjusted for splits and other changes.

The ratings being reviewed by S&P include the "B-" long-term corporate credit ratings for both Ford and GM, along with the "B-" long-term counterparty credit ratings for the two companies' respective financing arms, GMAC LLC and Ford Motor Credit Co. The ratings already indicate the companies' debt is below investment grade.

S&P said it believes both automakers have enough cash for at least the rest of 2008, but rapidly worsening industry conditions will make things tough for them in 2009.

Analysts have voiced concerns in recent days that the ongoing slump in U.S. vehicle sales could last longer than they previously expected and could spread to other parts of the world, particularly Europe.

J.D. Power and Associates said Thursday that it now expects U.S. new vehicle sales to total 13.6 million units this year and 13.2 million in 2009.

The company had previously projected 2008 sales of 14.2 million units and 2009 sales of 14 million units. Last year, U.S. sales totaled 16.1 million units.

The company also forecast a slow down in vehicle sales growth in both China and India, along with a drop in European vehicle sales.

William Durant and AP Sloane are doing flips in their graves...

Henry Ford's (#1-Old Henry) advice was and is corect today, "No stockholders, No parasites."

DIE GM. RIP.

AmazingRuss said...

"Soon, other states will bu all up in arms because something they perceive as "theirs" gets nationalized and taken away."

Already happening:

The prime minister said tonight that Iceland's decision not to recompense those with savings in the bank was "completely unacceptable" and the British government would do "whatever is necessary to recover the money".


http://www.guardian.co.uk/business/2008/oct/09/gordonbrowniceland

WWIII, here we come!

Anonymous said...

Those canadian royalty trusts are getting very tempting. Sure tax laws are changing, but they've been paying a consistent monthly dividend for years, back when oil was $40.

And are currently yielding better than junk bond rates... Approaching 40% dividend yields...

Miss Goldbug said...

Keith, I hope you're on the sidelines and not buying up AAPL stock assuming its a great buy.

Miss Goldbug said...

Stay out of the market unless you want your head on a platter.

What started in home builders stocks spread to financials, and now is wiping out the entire market.

I predicted the market would fall to 8,000 a few weeks ago.

The new prediction is: Dow hitting 6,200 by the end of this year, and will stay FLAT for another 6-7 years. Don't bother trying to time getting in, you'll have a long time to plan for it.

Anonymous said...

fringe seems like a hit...if only i had the patience.. but prision break does the trick for me, love the babe on "the big bang"

Miss Goldbug said...

Anon said:"I'm voting third party this election."


I've re-registered. I've been a republican all my life...not anymore, and I'm happy about it.

I'm voting for Nader. I only wish Ron Paul was on the ticket.

Anonymous said...

salt water taFFEE AND FUDGE....O LA LA........

Anonymous said...

ANYBODY KNOW A GOOD MAPLE FUDGE RECIPE?

Tonto said...

"So on my way home from work, I should draw as much cash from my bank account as possible?"


While, this guy must be blogging on his blackberry while walking home. That is die hard.


Side note: Fast Money on now, officially calling that the market has crashed. (Calling it a cascading crash).

Elliott Wave said...

I expect the Dow to lose about 90% of its value. Thats a downside target of 1,400 or so. By put options! And stock up on popcorn!

Miss Goldbug said...

Keith:"How many days until 8,000"?

My guess: Next Thursday,October 23rd.

Which is btw, the anniversary for the 1929 stock crash.

Will have the popcorn and martini ready.

Anonymous said...

HAD TO WAIT TWO HOURS TO GET A c.d AT WACHOVIA TWO WEEKS BEFORE THE TURMOIL... NOT TO THINK THEY MIGHY HAVE TAKEN MY 100.000 B AND PRINTED 1,000,000 OR EVEN 10,000,000 DEBT DOLLARS TO COMPETE WITH MY DEPOSIT AT BUYING OF ANYTHING? WAS NOT THAT ONCE? NOT WORTH THEIR WHILE????????????????????????????

Chris said...

Dylan Radigan on Fast Money just said "We need a perp walk" to help cleanse out the system, although another panelist noted that even with Enron, it took several years after the bankruptcy to convict Skilling and Lay.

This site has good comic relief...pictures of sad traders with funny captions.

http://sadguysontradingfloors.tumblr.com/

BUY said...

Bought GLD and AAV

Can't go wrong with Gold and AAV P/E is to good to pass up!

Anonymous said...

Anon:"How odd that all those boring lessons from our grandparents turn out to be true in the globalized, hip 21st century."



Honor, trust, intregrity, prudency all out the window.

We need to go back to standard accounting principles.

Anonymous said...

THE ALCOA CHARTS ARE MIND SPLITTING..........THE BANK OF AMERICA CHARTS PUT SOME CRAPPER ON MY LIFE.......

Anonymous said...

AKA the Pig:"Sell out and buy popcorn. This sucker isn't close to done yet."


As bush would say - This suckers goin' down!

Anonymous said...

" Anonymous said...
ANYBODY KNOW A GOOD MAPLE FUDGE RECIPE?

October 09, 2008 10:36 PM"

Not sure but Mozilo will be an expert in fudge soon...

You're going to prison Ange.

Anonymous said...

Who knows? Maybe the banks will take a 4 day 'holiday' starting tomorrow.

I read somewhere on the net BofA already have boxes of signs to post in their windows; informing everyone they are closed for a few days...

Better make sure you have some cash on hand.

Anonymous said...

The big losers will be the ones selling now in panic. Hold on to your emotions and just ride this out.IMO

I had mutual funds back in 2002-2003 that lost 50% of their value and eventually rebounded to well above 100%. I sold when they did and vowed never to play this rigged game again.

P.S. my IRA custodian/advisor suggested getting back in the market about 6 months ago. People are still making money he said. Oh,people like you?

Broker=Realtor (both on commission)in my book.

Anonymous said...

I sold everything, I am out. I have Cash, Gold, Silver, and Popcorn. My investors tried to talk me out of it. Thanks to this site and reading it over the last three years, I did the right thing over the last 2 years. Thank You HousingPanic! Sad that a lot of people have lost so much...

BMW Driving Sex Machine said...

and the debt credit bomb goes KABLAMMMMOOOO!!!

Anonymous said...

QWEEFER SAYS


Thank you realtors.

October 09, 2008 9:45 PM

===========

HUH? I thought it was all Bush's fault. No wait it was all Cheney's fault. No wait it's McCain's fault. No wait it's China's fault. No wait it's NASCAR's fault.

Shit dude every day it's someone else's fault. Never a Democrat on that list though.

Anonymous said...

If there is anything I've learned over the last few years is this:

if everyone is selling I'm buying, and vice versa. worked well when I sold my house in 2006 when everyone was saying i was crazy. worked when i went from 80% stocks to 80% cash in May 2007 and people thought i was losing out on dow 15K.

Now I see everyone thinks the end of the world is here and buying stocks is the worst idea ever. Means only one thing....start buying stocks like never before.

Anonymous said...

Keith, this kind of market works in my favor(SRS,SKF,DXD all ultra short ETF's), a couple of gold mining stocks(GG, etc). GLD, SLV
physical gold and silver in my possession. Sold all my RE in 2005
(FL and NY),renter for 3 years.
My ? for you why gold isn't $1200 yet (waiting passingly)and why $ still so strong?
May be it's good idea to open special post (GOLD or save haven during crash and depression). Please answer. Thanks in advance Alex.

slycapital.com said...

Folks, there is a now, as of this moment, a real chance that a generation of Americans (if not more) will never, ever be able to retire.

Think about that one. Let that sink in.
Keith said...

"No retirement.

And old folks living with their kids, struggling to get by, if not out on the street or in homeless shelters.

This is getting really real really quick and it's ugly beyond belief.

Thank you realtors."

This is really the biggest deal out of this. Younger people can rebuild - its really not the end of the world for them although I'm sure it feels like it. Those fifty plus have gone from $200k in their house plus $200k in fidelity to almost nothing. It really is scary. Not Halloween scary, bottom of the well "Silence of the Lambs" style scary.
It is interesting that this has occurred with probably the most self indulgent generation in history at the wheel. The baby boomers got fat off their parents labor and have had a dream run through life. They expected to have their kids pay for their retirement by spending and borrowing into eternity.
It now looks like they'll be in their kids spare room.
Please don't get offended if you're fifty plus. I'm well aware there are plenty of bright, hard working baby boomers as well and that not all are RE agents (although sometimes it seems like it here in California!)

Anonymous said...

Now I see everyone thinks the end of the world is here and buying stocks is the worst idea ever. Means only one thing....start buying stocks like never before.

Not yet, wait for earnings next week.

Anonymous said...

WOW all these posts and Frank has NOT yet chimed in how this is all Obama's fault? He must be slipping. Either that or he has jumped off a cliff into the Pacific Ocean due to his financial ruin today.

One can only hope :-)

JRinAZ said...

I was more scared when I was anticipating this crash to happen. Now that it is happening, it is surreal, but expected. I feel more comfortable knowing that the market does work, that it doesn't give a damn what the government tries to do to prop it up. I don't think America is dead, but there will be alot of pain in the world for the next several years.

Anonymous said...

.



AND TO TOP IT ALL OFF: MARXIST OBAMA IN THE EXCUTIVE AND DEMOCRATIC MAJORITY IN BOTH HOUSES. HOOOO-WEEE...THIS SUCKA GOIN DOWN!



.

Agent 99 said...

Keith,
Can we get a picture of Bush with that "Mission Accomplished" banner behind him?

Lost Cause said...

Obama will close the markets and call a bank holiday as his first acts.

Anonymous said...

I have a garage full of food, went out of the market in May and now I am sitting back just watching and waiting. I told people last April in 07 that the market was going to crash because it was a false market, overvalued and eventually it would all come crashing down. They looked at me and told me I was crazy it wasn't going to crash and that I was full of bad news. Not of those people who said those things have told me I was right. I don't even talk about it, they won't talk about it with me. I just make sure I say "I told you so long ago" loud enough for them to hear. I feel vindicated. Thanks Keith. PS Keith: you said how many days before 8,000 it appears it's not days but hours.

tater said...

Eating popcorn. Goin' to visit a packing plant tomorrow, to see how sausage is made. Anybody else want to go?

Kelly said...

Not a buyer until wilshire falls under 7000. (1/2 of GDP) And huge bloated companies with debt go BK (Autos, GE, lots of others). And government shows some sanity.

yoski said...

I pulled a bunch of cash out of my CitiBank account today. I have the feeling we'll get a "bank holiday" or something.
The FED will cease all private accounts to pay for the bailout and then some. Like it happened in Argentina. Maybe I am a bit paranoid but I am taking no chance considering how far we've already come. Nothing would surprise me at this juncture.

yoski said...

""The 29 crash was in one day."

Actually I think it took place over several weeks. I think the 1929 crash looks similar to our crash."
The '29 crash took 2.5 years to play out. At the end (5/32) the DJI had lost 89% from its peak. It took until 1954 to recover and reach a new high. Just as a word of caution to all knife catchers out there.

Anonymous said...

In SGCP and GSEN

Megs said...

i have to let my 401k ride.. i have about 25 years to retirement...

I think we're crashing hard.. hang on...

Alex3191 said...

I'm expecting realestate to go down to 10% of the peak (loosing 90% of value). Why would Dow be different ?
But this is just me ...

Anonymous said...

There is a magical line of resistance at $925 gold. They don't want it to challenge the $1000 mark for the third time.

Gold is being held down in the paper markets by the PPT in New York and London while physical gold and silver disappear from the shelves.

German banks no longer allowed to sell gold.

Try finding gold anywhere near spot prices. I dare you.

Jonathan said...

http://tinyurl.com/4yc9bx

I don't think I have seen anyone so crushed except when a family member dies. I had a good laugh at first, but seeing that face makes me feel horrible. There are going to be a lot of very unhappy people by the time that this all unravels. I wish it were not so.

i've had it said...

Got my popcorn. Very fearful though. It will get worse, much worse.

Anonymous said...

The age group that really took a bath on the stock market correction is the 45-70 . The last 8 years of earnings wiped out and they are down on their real estate about 30% or more .
Went to WaMu and a older teller told me she just lost 27 thousand she had put toward retirement .This is bad folks . Nobody likes to lose that must money when they are older
(I would of guessed she had about 7 more years to retirement age ).
It's one thing for people to crash and burn who gambled on real estate flipping ,but people crashing and burning on their company paid stock options and 401k stock savings is sad really because these people were saving for retirement .

Nobody blames the Corporations for the part they played in this house of cards .

JesusCrispy said...

I'm out. Done. Finished for a few years.

Anonymous said...

Anonymous said...
There is a magical line of resistance at $925 gold. They don't want it to challenge the $1000 mark for the third time.

Gold is being held down in the paper markets by the PPT in New York and London while physical gold and silver disappear from the shelves.

German banks no longer allowed to sell gold.

Try finding gold anywhere near spot prices. I dare you.

October 10, 2008 2:26 AM

So sooner or later freaken COMEX has to adjust GOLD prices to reality??? How they can manupulate the entire gold market ??? How long do you think we have to wait ???

Miss Goldbug said...

Yoski:"Actually I think it took place over several weeks. I think the 1929 crash looks similar to our crash."
The '29 crash took 2.5 years to play out. At the end (5/32) the DJI had lost 89% from its peak. It took until 1954 to recover and reach a new high. Just as a word of caution to all knife catchers out there."


Agree Yoski. I said the same thing - there's no need to rush back in. This market will flatline, with no earnings for years to come.


If anyone out there doubts house prices will not drop 70% - just look at the relation to stock prices and think again.

Anonymous said...

cash, all cash, all the time, cash baby cash (and cash equivalents), cash, deniro, (I'm not affluent enough to dabble in precious metals - I can't dance but at least I know I can't dance), cash, cash, cash, oh - did I mention cash? - cash, king cash, cash...

I'm guessing you guys get the picture...

Smug Bastard

Anonymous said...

I feel like Leonardo diCaprio riding the bridge of the Titanic down into the maelstrom. He was also just a poor boy at the whim of fortune who found himself tied to a falsely 'unsinkable' giant.